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Logo of International Water Distribution Co. (TAWZEA)
Saudi Arabian Amiantit Co. and SISCO said the consortium, to which their equally-owned subsidiary, International Water Distribution Co. (TAWZEA) is a party, signed, on Sept. 26, a contract with Saudi Water Partnership Co. (SWPC) to build Buraydah 2, Tabuk 2 and Al Madinah 3 independent sewage treatment plants (ISTPs).
TAWZEA will hold a 35% stake in the project, while Spain’s Acciona and Tamasuk will own 35% and 30%, respectively.
According to separate bourse statements from the two companies, the project includes design, construction, operation, and maintenance of the plant, and ownership transfer of the project on build, own and transfer (BOT) basis, along with the development of infrastructure and related facilities.
The term of the contract is 25 years, and the project will be financed through several banks.
The objective of the Al Madinah 3 project will be to develop a wastewater treatment facility with a capacity up to 200,000 cubic meters per day, which will be expandable to 375,000 cubic meters.
The Buraydah 2 and Tabuk 2 projects will be used to develop wastewater treatment facilities with a capacity up to 150,000 cubic meters per day for Buraydah and 90,000 cubic meters per day for Tabuk.
Construction of the three projects is expected to start in the second quarter of 2022, once the financing agreements with the banks are finalized.
The financial impact will be reflected once the projects are completed, which is expected by the end of 2024, under Amiantit’s share of results of associates.
Any other updates related to the projects will be announced in due time.
According to Argaam's data, Amiantit and SISCO announced that the best-bidder consortium, led by TAWZEA, was awarded, on Aug. 26, the Madinah 3, Buraydah 2 and Tabuk 2 ISTPs by SWPC.
SISCO and Amiantit own 50% of TAWZEA’s capital, which amounts to SAR 146 million.
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